Earnings Update: About You Holding SE (FRA:YOU) Just Reported Its First-Quarter Results And Analysts Are Updating Their Forecasts
Investors in About You Holding SE (FRA:YOU) had a good week, as its shares rose 5.5% to close at €3.48 following the release of its quarterly results. The result was fairly weak overall, with revenues of €518m being 3.1% less than what the analysts had been modelling. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on About You Holding after the latest results.
View our latest analysis for About You Holding
Taking into account the latest results, the most recent consensus for About You Holding from nine analysts is for revenues of €2.03b in 2025. If met, it would imply a modest 4.4% increase on its revenue over the past 12 months. The loss per share is expected to greatly reduce in the near future, narrowing 40% to €0.34. Before this earnings announcement, the analysts had been modelling revenues of €2.06b and losses of €0.40 per share in 2025. Although the revenue estimates have not really changed About You Holding'sfuture looks a little different to the past, with a cut to the loss per share forecasts in particular.
The average price target held steady at €5.48, seeming to indicate that business is performing in line with expectations. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. Currently, the most bullish analyst values About You Holding at €7.00 per share, while the most bearish prices it at €3.60. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.
Of course, another way to look at these forecasts is to place them into context against the industry itself. It's pretty clear that there is an expectation that About You Holding's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 6.0% growth on an annualised basis. This is compared to a historical growth rate of 9.7% over the past three years. Compare this to the 22 other companies in this industry with analyst coverage, which are forecast to grow their revenue at 5.8% per year. So it's pretty clear that, while About You Holding's revenue growth is expected to slow, it's expected to grow roughly in line with the industry.
The Bottom Line
The most obvious conclusion is that the analysts made no changes to their forecasts for a loss next year. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.
Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have estimates - from multiple About You Holding analysts - going out to 2027, and you can see them free on our platform here.
You can also see our analysis of About You Holding's Board and CEO remuneration and experience, and whether company insiders have been buying stock.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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